Bank of America Securities: Upgrade Wanwu Cloud (02602.HK) target price to HKD 24, reiterate "underperform" rating.

According to the Wisdom Financial APP, Bank of America Securities released a research report stating that the management of Maoyun (02602.HK) stated at the performance briefing on August 19 that the revenue and core profit growth for the fiscal year 2025 should be higher than the first half of this year. Bank of America Securities pointed out that due to stable profitability, Maoyun's core profit forecast for fiscal years 2025 to 2027 has been raised by 3.5% to 6.5%, but the accounting profit forecast has been lowered by 7.5% to 10.5%. The difference lies in the larger-than-expected credit loss provision. The target price has been raised from HK$22.9 to HK$24, based on a forecasted Price-to-Earnings ratio of 10 times for the 2026 fiscal year. Considering the lackluster growth, a recommendation of underperforming the market has been reiterated.